|OUTCOMES OF TOPIC
After studying this introduction to special allowances not claimed in the Income Statement, you should be able to:
✓ Understand why a difference between accounting profit and taxable profit could arise;
✓ Define an expense for accounting purposes;
✓ Understand what a special allowance is for taxation purposes;
✓ Recognise where business’ expenses are reflected in the business’ financial statements;
✓ Explain which special allowances that are not claimed in the Income Statement can be claimed in the ITR14 Tax Computation;
✓ Complete the Tax Computation sections on the ITR14 to reflect special allowances not claimed in the Income Statement.